Fitch Affirms 16 Classes of COMM 2012-CCRE2

CHICAGO--(BUSINESS WIRE)--Fitch Ratings has affirmed 16 classes of German American Capital Corp.'s
Wells Fargo Commercial Mortgage Trust (COMM) commercial mortgage
pass-through certificates series 2012-CCRE2. A detailed list of rating
actions follows at the end of this press release.

KEY RATING DRIVERS

The affirmations are a result of stable performance since issuance.
There are no delinquent or specially serviced loans.

As of the June 2014 distribution date, the pool's aggregate principal
balance has been reduced by 2.2% to $1.29 billion from $1.32 billion at
issuance. No loans are defeased. There are five loans (2.79%) on the
master servicer's watchlist, of those Fitch has designated two loans
(0.7%) as Fitch Loans of Concern due to occupancy issues and potential
tenant rollover.

The largest loan in the pool is the 1055 West 7th Street loan (8.9% of
the pool), which is secured by a 615,953 square foot (sf) office
building located in downtown Los Angeles, CA. The property was built in
1987 and features a subterranean parking garage. Fitch analyzed the
property's operating statements and noted that operating expenses at the
property were 14.6% higher than the underwritten operating expenses. The
increase in operating expenses is resulting in a lower debt service
coverage ratio (DSCR) than underwritten, with the year-end 2013 DSCR at
1.25x on net operating income (NOI), compared to the underwritten NOI
DSCR of 1.49x. As of year-end 2013, occupancy at the property has
improved to 90.3% from 85.2% at issuance.

The second largest loan in the pool is the 77 K Street loan (8.5%),
which is secured by an 11-story, 326,860 sf office property located in
Washington, D.C. Built in 2008. The property features an underground
parking garage with 241 stalls and is in close proximity to Union
Station, Washington, D.C.'s largest transportation hub. The loan is
sponsored by Brookfield Properties, Inc., a wholly owned subsidiary of
Brookfield Office Properties, Inc. The loan appeared on the servicer
watchlist in 2013 due to a technical trigger for low DSCR; however, the
loan is performing as underwritten and was removed from the watchlist in
July 2013. Approximately 70% of the net rentable area (NRA) is leased by
credit-rated government tenants: the Internal Revenue Service (IRS) and
the Federal Retirement Thrift Investment Board (FRTIB) on long term
leases. The year-end 2012 and year-end 2013 effective gross income has
been lower than the underwritten amount due to rent abatements
associated with those leases. The rent abatements ended in January 2013
resulting in improved cash flow performance as of year-end 2013. For
that period, the property reported a 1.69x DSCR (NOI) and occupancy of
100%.

The third largest loan in the pool is 260 and 261 Madison Avenue (8.1%)
which consists of two office properties totaling 923,277 sf located in
midtown Manhattan in New York, NY. The properties were built in 1951 and
1953 respectively. Tenants include law firm McLaughlin & Stern (11.8%
NRA, expiring 2021), Primedia (7.6% NRA, expiring 2017), and the
Coca-Cola Company (5.5%, expiring 2022). The interest-only $105 million
A-2 loan in this trust is pari passu with a $126 million A-1 note in
COMM 2012-CR3. As of year-end 2013, the property reported a 1.82x DSCR
(NOI) and occupancy of 93%.

RATING SENSITIVITY

Rating Outlooks on classes A-1 through G remain Stable due to increasing
credit enhancement and continued paydown. No rating actions are expected
unless there are material changes to property occupancies or cash flows.
The pool has maintained performance consistent with issuance.

Initial Key Rating Drivers and Rating Sensitivity are further described
in the New Issue report published on August 06, 2012.

Fitch affirms the following classes as indicated:

--$53.4 million class A-1 at 'AAAsf'; Outlook Stable;

--$94.6 million class A-2 at 'AAAsf'; Outlook Stable;

--$102 million class A-SB at 'AAAsf'; Outlook Stable;

--$100 million class A-3 at 'AAAsf'; Outlook Stable;

--$546.3 million class A-4 at 'AAAsf'; Outlook Stable;

--$1 billion class X-A at 'AAAsf'; Outlook Stable;

--$77.6 million class A-M at 'AAAsf'; Outlook Stable;

--$52.8 million class A-M-PEZ at 'AAAsf'; Outlook Stable;

--$37.3 million class B at 'AAsf'; Outlook Stable;

--$25.4 million class B-PEZ at 'AAsf'; Outlook Stable;

--$25.5 million class C at 'Asf'; Outlook Stable;

--$17.4 million class C-PEZ at 'Asf'; Outlook Stable;

--$23.1 million class D at 'BBB+sf'; Outlook Stable;

--$51.2 million class E at 'BBB-sf'; Outlook Stable;

--$23.1 million class F at 'BBsf'; Outlook Stable;

--$23.1 million class G at 'Bsf'; Outlook Stable.

Fitch does not rate the classes X-B, PEZ and H certificates.

A comparison of the transaction's Representations, Warranties, and
Enforcement (RW&E) mechanisms to those of typical RW&Es for the asset
class is available in the following report:

'COMM 2012-CCRE2 -- Appendix' (Aug. 06, 2012).

Additional information on Fitch's criteria for analyzing U.S. CMBS
transactions is available in the Dec. 11, 2013 report, 'U.S. Fixed-Rate
Multiborrower CMBS Surveillance and Re-REMIC Criteria', which is
available at 'www.fitchratings.com'
under the following headers:

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PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS
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OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES
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RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR
RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY
CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH
WEBSITE.